- Bitcoin looks set to push past $10,000
- Daily, weekly, and monthly charts look positive
- Fundamentals tie in to suggest new bull run may be incoming
Bitcoin is set for another crack at $10,000 with a good chance of breaking it this time and sending us to yearly highs. This confidence is backed up by both the high and low timeframe charts, including a crucial break of the weekly and monthly downtrend that began over two years ago.
$10,000 Looks Set to Crack
Having tried and failed to stay over $10,000, Bitcoin dropped back to the range low of $9,465 which had some assuming that more downside was to follow. However, this was nothing more than a liquidity sweep, with Bitcoin already recovering to $9,700 today, a pattern that typically sees price revert back to test the range high, which in Bitcoin’s case is the $10,400 area.
While it is looking likely that we will head north, we must also be careful not to get too carried away with the potential upside and remember that markets love to be cruel – especially the crypto markets. In this case, losing support at the range low would likely send us down to the mid $8,000s, which has the potential to be a great buying opportunity, as long as we can hold it.
Further Confirmation on the Weekly and Monthly Charts
We can look for further confirmation of Bitcoin’s current bullishness on the weekly logarithmic chart, which gives us a different perspective:
Here we can see the vital break of the downtrend that began at all time highs back in December 2017. The last time we saw such a break was in August 2016, just after the last halving, which kicked off the 2017 bull run. Can the same thing happen again? It’s certainly possible.
This trendline break is even more obvious when looking at the monthly chart:
This trendline reinforces the notion that Bitcoin is at the start of another market cycle, especially when you consider the bullish fundamental factors such as its position as an alternative store of value at a time when there is uncertainty in traditional markets and institutions and hedge funds are getting involved.
All in all it is hard to be negative about Bitcoin, both in the short term and the long term, with the scene potentially set for some major moves.
